PPRA Rules on Acceptance of Bids/Negotiations

Client Query 042:- Hello, hope all is well at your end? I wanted to discuss a matter with you that a Project Office has to be processed through Single Stage Two Envelope Procedure. There are total two bids received and out of these, one bid was disqualified in Technical Evaluation. Single qualified bid was opened in the Financial Bid opening and bid offered is much higher than the market rate. At the time of starting the proceedings, there was no urgency, but now after three months, we are on critical timeline of project. As stated above can you please guide us that can we negotiate with bidder to bring him on reasonable/competitive rates? Secondly can we accept any volunteer discount offer of bidder? Thirdly is it mandatory to go for re-tender in this situation? Lastly if not any of the above mentioned options are applicable then is there any other solution which can be suggested by you? Your response in this matter would be highly appreciated! Best regards!

Sahir Hussain, Pakistan

Answer:-Thank you very much for your reply! As per your query we would wish to inform you that according to Rule 40 of PP Rules, 2004, negotiations are not allowed. The concept of discounts is not covered under PP Rules, 2004. However, re-tender is advised in the case mentioned above. Hope this will help you answer your query!

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